Every single case is treated as an urgent matter; the staff truly develops personal relationships with their clients throughout the modification process. It hurts to find out that modification companies are taking advantage of distressed people by masking themselves as specialists.
Encino, CA (PRWEB) March 5, 2009
As homeowners struggle to keep their properties from foreclosing, many scammers are falsely promising to renegotiate their mortgage in exchange for up-front fees ranging from $3,000 to $ 5,000. Legitimate loan modification brokers like Wall Street and Associates, Inc. are diligently working to overcome the bad reputation that results from the practices of these fraudulent companies.
“An authorized loan modification firm provides assistance to a community in need by working diligently and effectively to modify their client’s loans.” said Wall Street and Associates COO Natalie Eiger.
“Every single case is treated as an urgent matter; the staff truly develops personal relationships with their clients throughout the modification process. It hurts to find out that modification companies are taking advantage of distressed people by masking themselves as specialists.” Eiger went on to explain an unfortunate trend, “About 80% of the files that are submitted to us come from clients who have been previously declined due to a company which failed to modify their loan properly. Unfortunately, most companies entering into this field do not have the experience and knowledge needed to modify these files successfully. Modifications are very different than standard refinances,” Eiger explained.
Most of these fraudulent and inexperienced companies are accustomed to submitting “stated or no doc” files and don’t understand how to calculate income properly, or comprehend risk analysis. Loan modifications require full documentation and the majority of these companies are not well educated about these practices.
A good loan modification company separates from the competition with a staff comprised of underwriters and processors who worked for lenders and have an insider understanding of what banks want to see in order to approve modifications.
Eiger offered some words of caution, “Beware of companies who guarantee specific rates or balance reductions. Many of these fraudulent companies claim that they can guarantee the client a specific savings or interest rate and this is absolutely a lie. The investor makes their decision on a case-by-case basis and it is impossible for any of these companies to know exactly what they will be able to get until the file has been completely submitted and reviewed by a negotiator. It’s as if a broker could guarantee you an approved loan prior to the bank reviewing any of your documentation…we know where those brokers drove our economy!”
Eiger listed some best practices to keep an eye out for: • Legitimate loan modification brokers use established attorneys. • Their underwriters have established relationships with mortgage lenders. • They offer refund policies- if the broker/attorney is so sure that they can modify your loan, they should offer a decent refund policy in the event the modification does not get approved.
About Wall Street and Associates, Inc.: Wall Street and Associates, Inc. was founded in 1997 by two partners who had a vision of providing multi- faceted real estate services to their consumers. For the past 11 years, Wall Street and Associates, Inc. has paved the road to its abundant success by providing astounding customer service, reliability, and sound financial solutions to their clients. Wall Street and Associates, Inc. is currently comprised of 10 nationwide branches with the Corporate Headquarters located in Encino, California. The organization is ramping up very quickly and projects to reach 50 nationwide branches by the end of 2009.